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Exclusive Buyer Brokerage Engagement Agreement for Canada

Exclusive Buyer Brokerage Engagement Agreement Template for Canada

A legally binding agreement used in Canadian real estate transactions that establishes an exclusive relationship between a buyer and a real estate brokerage. The agreement outlines the brokerage's commitment to represent the buyer's interests exclusively in property searches, negotiations, and purchases within a specified period. It details the scope of services, compensation structure, and mutual obligations while ensuring compliance with provincial real estate regulations and professional standards. This document serves as the foundation for the buyer-broker relationship and provides legal protection for both parties throughout the property acquisition process.

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What is a Exclusive Buyer Brokerage Engagement Agreement?

The Exclusive Buyer Brokerage Engagement Agreement is a crucial document in Canadian real estate transactions that formalizes the professional relationship between a property buyer and a real estate brokerage. This agreement is typically used when a buyer seeks dedicated representation in their property search and acquisition process, ensuring they receive undivided loyalty and professional service from their chosen brokerage. It includes detailed terms regarding property search criteria, commission structures, duration of representation, and the scope of services provided. The document must comply with provincial real estate regulations and professional standards, including specific requirements for disclosure, agency relationships, and consumer protection. This agreement is particularly important in competitive real estate markets where having exclusive professional representation can significantly advantage buyers in their property search and negotiation process.

What sections should be included in a Exclusive Buyer Brokerage Engagement Agreement?

1. Parties: Identifies and provides full legal details of the buyer(s) and the brokerage firm, including licensing information

2. Background: Establishes the context of the agreement, including the buyer's intention to purchase property and the brokerage's qualifications

3. Definitions: Defines key terms used throughout the agreement, including 'Exclusive Period,' 'Property Requirements,' and 'Compensation'

4. Appointment and Term: Establishes the exclusive nature of the relationship and specifies the duration of the agreement

5. Brokerage Services: Details the specific services the brokerage will provide to the buyer

6. Buyer's Obligations: Outlines the buyer's responsibilities, including working exclusively with the brokerage and providing accurate information

7. Property Requirements: Specifies the type, location, and characteristics of properties the buyer is interested in

8. Compensation: Details the commission structure, payment terms, and circumstances under which compensation becomes due

9. Disclosure Obligations: Outlines required disclosures from both parties as per provincial regulations

10. Confidentiality: Addresses the handling of confidential information and privacy requirements

11. Termination: Specifies conditions and procedures for ending the agreement

12. General Provisions: Includes standard clauses such as governing law, entire agreement, and amendments

What sections are optional to include in a Exclusive Buyer Brokerage Engagement Agreement?

1. Multiple Buyers: Required when there are multiple buyers acting together, defining their joint and several responsibilities

2. International Buyers: Include when working with non-Canadian buyers to address specific requirements and considerations

3. Holding Deposits: Include when the brokerage will be responsible for holding deposit money

4. Digital Communications: Add when parties agree to use electronic signatures and digital communication methods

5. Team Representatives: Include when multiple agents within the brokerage may serve the buyer

6. Property Management: Add when the buyer requires assistance with property management services post-purchase

7. Mortgage Financing: Include when the brokerage will assist with mortgage arrangements

What schedules should be included in a Exclusive Buyer Brokerage Engagement Agreement?

1. Schedule A - Property Requirements: Detailed list of buyer's property preferences, requirements, and deal-breakers

2. Schedule B - Commission Structure: Detailed breakdown of commission calculations and payment scenarios

3. Schedule C - Service Package: Comprehensive list of services included in the agreement

4. Schedule D - Team Members: List of authorized brokerage representatives who may assist the buyer

5. Appendix 1 - Buyer's Acknowledgment of Agency Disclosure: Mandatory agency relationship disclosure form as required by provincial regulations

6. Appendix 2 - Privacy Policy: Detailed privacy policy and information handling procedures

7. Appendix 3 - Brokerage's Code of Ethics: Brokerage's professional standards and ethical commitments

Authors

Alex Denne

Head of Growth (Open Source Law) @ Genie AI | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

Jurisdiction

Canada

Publisher

Genie AI

Document Type

Broker Agreement

Cost

Free to use
Relevant legal definitions






























Clauses





























Relevant Industries

Real Estate

Property Development

Property Investment

Professional Services

Financial Services

Legal Services

Relevant Teams

Legal

Real Estate

Compliance

Risk Management

Client Relations

Contract Administration

Property Acquisition

Investment Advisory

Document Management

Relevant Roles

Real Estate Agent

Real Estate Broker

Brokerage Manager

Real Estate Law Clerk

Real Estate Lawyer

Compliance Officer

Contract Administrator

Property Acquisition Manager

Real Estate Investment Manager

Legal Counsel

Risk Management Officer

Client Relations Manager

Industries








Teams

Employer, Employee, Start Date, Job Title, Department, Location, Probationary Period, Notice Period, Salary, Overtime, Vacation Pay, Statutory Holidays, Benefits, Bonus, Expenses, Working Hours, Rest Breaks,  Leaves of Absence, Confidentiality, Intellectual Property, Non-Solicitation, Non-Competition, Code of Conduct, Termination,  Severance Pay, Governing Law, Entire Agreemen

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